Caribbean Economic Development REAL & UNCUT

Caribbean economic development has lagged behind that of similar countries like Cyprus, Ireland and Singapore. This is primarily due to the disproportionate dependence on the exploitation of the natural resources and main products of export. In order to provide some logic and reasoning for the current state of the Caribbean's economic development it is to be noted that the region has maintained a pattern of declining rates in per capita GDP. Viz in the periods of the 1970's, 80's and some continued into the 1990's. However, Trinidad & Tobago broke free from this trend via implementation of policy reforms and drastic increases in world oil prices.

Contrastingly, the 20th century marked improvements in per capita GDP for the Caribbean. This was the result of economic expansion for Trinidad & Tobago whereas in the rest of the region the improvement can be attributed to infrastructural and tourism development. Setting aside the tendencies for decline in GDP the Caribbean has seen improvements in other universally accepted indicators of development such as, income, health, education and life expectancy.

Although improvements have been observed, Caribbean economic development is faced with relentless economic challenges. The most threatening of which would be the loss of preferential arrangements, seeking to achieve higher productivity levels and the need to strengthen fiscal positions and reduce the public debt burden. The Caribbean Single Market Economy is seen as the most appropriate entity to combat these challenges.The CSME may seek to employ strategies such as identifying and eradicating regional constraints and introducing inputs such as trade liberalisation, labour mobility and investment promotion to increase competitiveness within the region.